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Subdivisions

What is subdividing?

When it comes to subdividing or dividing land and buildings into separate parts it can make it much easier to be sold and have separate ownership. This can be very profitable if done
so correctly. The most common type of resource consent used for this, is called a “subdivision consent” and this can be applied for from your local council.

The council will check the unitary plan and the resource management act 1991 in order to ensure adverse effects are controlled and adhered to. When deciding to subdivide your land, one should realize the time taken and the application process can be lengthy and complicated. That’s why it is recommended to use a professional to help guide you through the process to eliminate unnecessary costs and save time and money.

In order for you to subdivide your land, it is important you meet the council’s Unitary Plan. This will include planning controls and standards such as minimum lots sizes, height of the building in relation to the boundary, zoning, services, vehicle parking and maneuvering, outdoor space, building area, stormwater and wastewater provisions, telephone and power, water and gas so that each lot can be adequately provided for prior to construction.

The Auckland Unitary Plan has made it much easier for existing brownfield land areas to be developed and thereby created great opportunities for additional housing an infill within the Auckland region and can be a very lucrative money maker. There is a number of

residential zones which allow for infill development which include:

  • Single House Zone
  • Mixed Housing Suburban Zone
  • Mixed Housing Urban Zone
  • Terraced Housing and Apartment Building Zones

If for example your property is one of these categories described above, then there is a good chance you can go ahead with a subdivision or at minimum one additional dwelling depending on the zoning and controls set out by council and the Resource Management Act: 1991.

To check if your property is suitable for such a development it would be best to undertake a feasibility study. Auckland subdivisions offer very affordable Feasibility reports which can be processed in just a few days.

Fee Simple

The ownership of the land and the buildings on it is held solely by those persons listed on the certificate of title. Freehold is the most common form of subdivision.

 

Unit Title

Unit title owners own a defined part of a building, such as an apartment, and share common areas such as lifts, lobbies or driveways with other owners. Residential unit title properties are typically apartment blocks and townhouses.

 

Cross-lease

Leasehold is when someone else owns the land. In a cross lease, you own a share of the freehold title in common with the other cross leaseholders and a leasehold interest in the particular area and building that you occupy.

 

More information about these are here 

 

UNITARY PLAN FOR AUCKLAND

The Auckland Unitary Plan has made it much easier for existing brownfield land areas to be developed and thereby created great opportunities for additional housing an infill within the Auckland region and can be a very lucrative money maker.
There is a number of residential zones which allow for infill development which include:

  • Terraced Housing and Apartment Building Zones
  • Mixed Housing Urban Zone
  • Mixed Housing Suburban Zone
  • Single House Zone
  • Large Lot Zone

For example, if your property is one of these categories described above, then there is a good chance you can go ahead with a subdivision or at minimum one additional dwelling depending on the zoning and controls set out by council and the Resource Management Act: 1991.
To check if your property is suitable for such a development it would be best to undertake a feasibility study. Auckland Subdivisions offer very affordable Feasibility reports which can be processed in just a few days.

What is a Consent?

Consents are required before work can begin. In the land development and subdivision sector the following consents are usually required to be issued by council.

SUBDIVISION PROCESS

  1. Feasibility Study
  2. Surveying and Scheme plan produced
  3. Resource Consent Application and Approval
  4. Land Development Begins with Site Construction of Accessways, drainage, utilities.
  5. House Built
  6. Approval from Council and Section 224c issued
  7. Lodge for Survey Approval with Land Information New Zealand
  8. Preparation of Titles, Plans and submission of Section 223c
  9. New Titles issued and ready to sell.

FREQUENTLY ASKED QUESTIONS

We highly recommend you engage a professional to assess whether a proposed subdivision is possible under the unitary plan and feasible in terms of ROI. This is where a feasibility report can be produced which details the council requirements and budget costs to complete such a development and see if its viable. The budget will highlight consent applications fees, construction costs, drainage, consultants, and financial contributions.
When you subdivide a surveyor will need to identify key features on your property and show them along with ground levels, contours, buildings, trees and any other services to show the future result after you subdivide. The scheme plan will show lot sizes and access-ways for your proposed subdivision and will be the main plan for consent applications. This will also be used by the architect for proposed new dwellings.
In order for a land development project such as a two-lot subdivision then yes you will need one. Most likely it will be a Subdivision Consent. This will contain information and the amount of information will be dependent on the complexity of your proposal. Information included will outline an assessment of environmental effects, engineering design, services, lot areas, scheme plans, geotechnical reports, water engineering for drainage and any mitigation for non-complying activities.
Under the Resource Management Act: 1991, the council is supposed to complete the process within 20 days. Unfortunately, that is not always the case as more information is normally requested by council. Publicly notified applications take longer and the length of time to obtain a consent can be minimized by using professionals familiar with these processes who know how to avoid the pitfalls and traps.

Permission by affected persons or property may need to be obtained if they are adversely
affected by the intended development or not a permitted activity i.e. a restricted
discretionary activity. This involves approaching the landowners and seeking their approval
and consent. If they object this can cause delays and significant problems for both you and
council. Please note that a right of entry approval is required from adjoining landowners if
any work is to be done on their property such as connections to drainage lines.

Most consents are valid for 5 years from the day the consent is issued. However, it is recommended to check the conditions of the consent for any specific time frames. If you get a subdivision resource consent you have five years to get a 223c approval from the date of the decision and three years to get a section 224c approval from the date of the 223c approval. This is total of eight years maximum for you to get your development finished. If you need more time an extension of time can be applied.

Below is an approximate timeline for the subdivision process from start to finish based on
two lot subdivision.

  • Feasibility Report 2 weeks
  • Surveying Site and Prepare Scheme Plan 2 weeks
  • Resource Consent Application and preparation with
  • consultants and stakeholders 4 weeks
  • Submission to Council and Processing time to approval 4 weeks
  • Tenders to Contractors sent out and selected 2 weeks
  • Site Construction Begins and completed depending on
  • complexity 8 weeks
  • House built 6-12 months
  • 223c approval and as-built plans finished and submitted 2 weeks
  • Engineering work complete and 224c issued 4 weeks
  • Solicitor submits documents to LINZ and they issue titles 2 weeks